Home Buyers are Waiting For?????

In most cities, home prices are on the rise!
We are starting to read about how housing is now the engine for economic recovery. However, it will not be long before the Fed increases their rate and mortgage interest rates will soon follow.
As interest rates increase and prices increase, buyers will be able to afford less.
As an example;

How much could you afford to borrow if you wanted to keep your monthly mortgage payment at $1,000? A $1,000 per month rental will be difficult to find in 2013!

at 4.0% interest rate (rates are currently lower)                              $209,000
In Charlotte, you can easily find a 4 BR/2.5 Bath/2-car garage house for under $200,000.

at 6.5% interest rate (probably an historic average)                       $158,000
In Charlotte, you can still find a 3BR/2.5 Bath/2-car garage house for under $150,000

at 18.0% interest rate (Carter's standard..... and in the future?)        $66,000
In Charlotte, you can still find a 2BR/1 Bath house built in 1950 for under $75,000.

Do you really think financial reforms and regulations will make it easier for someone to buy a home?
The home buying process will only become MORE complex and difficult for buyers to buy a home in the new year. Then..............................

Why do you think so many home buyers are waiting?

Please post and share your answer to the above question.